Bekker's Blog

Blog archive

Keeping a Lid on Azure Consumption (Or Not)

Have you or your clients had any problems with Azure consumption overages?

It turns out that Microsoft is counting on customers to end up paying more for Azure than they may have planned to.

During Microsoft's last earnings call in January, CTO Amy Hood highlighted Azure consumption overages as a source of growth for the company.

"As a reminder, strong performance in larger, long-term Azure contracts, Azure consumption overages, and pay-as-you-go contracts will drive bookings growth and in-period revenue but will have a limited impact on unearned revenue," Hood said during the call.

There wasn't a direct dollar figure attached, and Hood's comment downplays the total a bit. But when you're a $110 billion revenue company, any amount of money that's worth bringing up in a half-hour call with investors qualifies as a significant sum.

We'd like to hear your stories about Azure consumption overages. How did the overage happen in your or your customer's case? How much did it cost? How did you address the problem and have you been able to contain it since? Drop us a note at [email protected].

Posted by Scott Bekker on April 11, 2019


Featured

  • IBM Giving Orgs a Governance Lifeline in Agentic AI Era

    Nearly overnight, organizations are facing brand-new challenges caused by self-directed AI systems (a.k.a. agentic AI). Big Blue is extending them some help.

  • Microsoft Launches Integrated E-mail Security Ecosystem for Defender for Office 365

    Microsoft is expanding its e-mail security capabilities with the launch of a new Integrated Cloud Email Security (ICES) ecosystem for Microsoft Defender for Office 365.

  • Microsoft Joins Workday's AI Agent Partner Network

    Microsoft has become a key partner in Workday's newly launched AI Agent Partner Network, aligning with other industry leaders to integrate AI agents into enterprise workforce systems.

  • LinkedIn CEO Ryan Roslansky To Lead Microsoft's Productivity Initiatives

    In a strategic leadership realignment, Microsoft has appointed LinkedIn CEO Ryan Roslansky to oversee its consumer and small business productivity software division, encompassing Microsoft 365, Teams and AI-driven tools like Copilot.